These Guidelines are issued pursuant to Flare Gas (Prevention of Waste and Pollution) Regulations, 2018, and shall apply to Flare Payments for natural gas being flared (flared or vented) at Producers' Production Facilities in Nigeria.
The objective of these Guidelines is to define the accounting procedure for Flare Payments for the Producer at Production Facilities with respect to flared and/or Vented Gas.
2. Flare Payment Regime
Flare Payments shall apply to any natural gas that is flared and/or vented at Production Facilities of the Producers.
Paragraph 12 of the Flare Gas (Prevention of Waste and Pollution) Regulations, 2018, stipulates that Permit Holders shall not engage in Routine Flaring or venting of natural gas and Paragraph 13 stipulates the applicable Flare Payment regime to the Producers.
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